Coinbase Derivatives, formerly known as FairX, has made a request to the U.S. Commodity Futures Trading Commission (CFTC) to list a regulated futures contract for Shiba Inu (SHIB). The contract, called 1k Shib Futures (SHB), will be listed under a self-certification model and is scheduled to be open for trading on July 15, 2024.
In a letter addressed to the secretary of the U.S. CFTC, Coinbase Derivatives provided detailed information about the SHB Futures contract. The contract will be a monthly cash-settled and margined contract. Its contract size will be 10 million SHIB, with the minimum tick size and value set at $0.00001 per token and $0.10 per contract, respectively.
The exchange has also set the contract’s position limit to 30,000 SHB Futures, which is equivalent to 300 billion SHIB tokens. The final settlement price of expiring contracts will be based on the Market Vector Coinbase 1k Shib benchmark reference rate at 4:00 PM London time. The product’s index value will be determined by a two-hour settlement window, divided into 40 three-minute intervals, with Market Vector calculating a volume-weighted median price from the constituent exchange’s volume and trades.
Trading hours for the SHIB contract will be from 5:00 to 4:00 PM (CT), Sunday through Friday, with a trading break scheduled from 04:00 to 05:00 PM (CT) on Monday through Thursday.
In addition to the SHB Futures contract, Coinbase Derivatives has also submitted certification documents for futures contracts of four other altcoins: Stellar Lumen (XLM), Polkadot (DOT), Chainlink (LINK), and Avalanche (AVAX). These contracts are also set to launch on July 15, and Coinbase Derivatives will implement risk control measures, including a daily price limit, to manage the volatility of these assets.
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